Question

Kanya has a credit card that gives a 6% discount on every purchase and free shipping when used online. The annual percentage rate on the credit card is 12%. Kanya wants to buy a laptop that costs $420. Which statement about the cost of the laptop is true?
If Kanya uses the credit card and pays the full balance during the billing cycle, she will spend $25.20 more than paying cash for the laptop.
If Kanya uses the credit card and pays the full balance during the billing cycle, she will spend $50.40 more than paying cash for the laptop.
If Kanya uses the credit card and pays the full balance during the billing cycle, she will spend $50.40 less than paying cash for the laptop.
If Kanya uses the credit card and pays the full balance during the billing cycle, she will spend $25.20 less than paying cash for the laptop.

Answer 1

Option (d) is true i.e, If Kanya uses the credit card and pays the full balance during the billing cycle, she will spend $25.20 less than paying cash for the laptop.

The Discount is a price cut applied to the regular cost of a good or service in an effort to generate or boost sales. Retailers and manufacturers use these reductions, also known as "sales" or "markdowns," across a variety of industries.

Types of Discounts:

• Trade discount,
• Quantity discount,  
• Cash discount.

A price reduction offers a financial benefit, an incentive for customers to buy the product, according to the economic impacts of price reductions. Numerous earlier research has shown that consumers perceive greater levels of savings for a product when a larger price discount is offered.

The credit card that Kanya has to give a discount of = 6%

The cost of the laptop Kanya wants to buy costs= $420

The amount that will be deducted from the cost of the laptop= 420 × 6/100

= 2520/100

= $25.2

Therefore, the correct statement is that If Kanya uses the credit card and pays the full balance during the billing cycle, she will spend $25.20 less than paying cash for the laptop.

To know more about discount refer to:  brainly.com/question/1548141

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